It is a well-known fact that the gambling sector in Macau has been experiencing a lot of setbacks in the recent months. What is more, gambling revenue in February plunged the record 49%. Although the overall expectations are a slight increase to be reported during the second half of the year, the latest statistics show that the situation is more complicated than ever.
It seems like the casino venues located in a close proximity to Macau have quickly adapted to the new conditions. Apparently, they realized that the anti-corruption campaign of Xi Jinping puts them in a favorable position.
The neighboring countries have all chances of luring players from Macau and generating excellent revenues by having the wealthiest Asian players within their premises.
According to prominent market analysts a shift from Macau to other appealing gambling destinations is expected. Actually, the majority of local players are likely to go to the Philippines or Vietnam to roll the dice.
As for the Korean casinos, they will lure players from the northern part of mainland China.
As already mentioned, the countries located near Macau will benefit from the complicated situation in the Chinese administrative region but they do not rely solely on the abundant choice of gambling facilities available in their casinos. On the contrary – South Korean operators are taking imminent actions towards attracting players that are currently placing their bets in Macau.
Representatives of Paradise Co. announced that mass players who spend large sums of money will be given a VIP statute. In order to remove the language barrier, they have already started hiring employees who are fluent in mandarin. In addition, they are prepared to provide foreign players with a wide variety of dining, shopping and entertainment options.
As a result of the enriched gambling market, the revenues generated by casinos based in the Philippines and South Korea are expected to increase between 16% and 33%.
As previously reported, the opening of City of Dreams Manila will have a long-term effect on the Asian gambling industry. The South Korean gambling segment is also undergoing significant diversification. In other words, these two countries are believed to replace Macau and become the most attractive gambling hubs in Asia, unless Macau officials do their best to prevent such an outcome.
Back in 2014, the Chinese President visited Macau and recommended urgent economy diversification. He advised Macau officials to concentrate their efforts on expanding the other profitable sectors and stop relying predominantly on casino revenues in order to keep the local economy stable.
